Investment Insights - Amazon

Amazon reported strong earnings on Thursday and had an immeidate  13% share price increase.

I think it is because they have been a laggard out of the mega caps in the last few years while attention has gone to Nvidia, Meta, and Alphabet.

The longer Amazon's share price lags, the greater the chance that good news will now impact share price because the company is not priced to perfection.

At some point (and maybe we have just reached it) it will be Amazons turn out of the tech companies to get a large bump in share price.

Conversely Meta has had a great run in the last 3 years, and announced very good results on Wednesday but they dropped 15% since then. The problem with being priced to perfection is that sometimes we don’t get perfection!!